BEFORE THE DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C.

________________________________________________ ) Application of ) ) VIRGIN AMERICA INC. ) ) Docket No. OST-2010-0167 for a certificate of public convenience and necessity ) pursuant to 49 U.S.C. § 41102 to engage in foreign ) scheduled air transportation of persons, property and mail ) between the United States and Mexico. ) _______________________________________________ )

AMENDMENT NO. 1 TO APPLICAT ION OF VIRGIN AMERICA INC. FOR A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY FOR FOREIGN SCHEDULED AIR TRANSPORTATION AUTHORITY

Communications with respect to th is document should be sent to:

Barbara Russell Associate General Counsel Virgin America Inc. 555 Airport Blvd., 5 TH Floor Burlingame, CA 94010 (650) 762-7394 (phone) (650) 762-7004 (fax) barbara.russell@virginamerica.com

July 14, 2011

Notice : Any person who wishes to support or oppos e this Application may do so by: (1) filing an answer by August 4, 2011; and (2) serving that answer on the person(s ) listed above and all persons served with a co py of this ApplicationBEFORE THE DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C.

________________________________________________ ) Application of ) ) VIRGIN AMERICA INC. ) ) Docket No. OST-2010-0167 for a certificate of public convenience and necessity ) pursuant to 49 U.S.C. § 41102 to engage in foreign ) scheduled air transportation of persons, property and mail ) between the United States and Mexico. ) _______________________________________________ )

AMENDMENT NO. 1 TO APPLICAT ION OF VIRGIN AMERICA INC. FOR A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY FOR FOREIGN SCHEDULED AIR TRANSPORTATION AUTHORITY

Virgin America Inc. (“Virgin America”), pu rsuant to 49 U.S.C. § 41102, Subpart C of the

Department’s Rules of Practice (14 C.F.R. Part 302), and the Department’s streamlining

regulatory procedures for licensing U.S. air carriers, 1 hereby amends its previously-filed

application for a certificate of public convenience and necessity to engage in foreign scheduled

air transportation of persons, property and mail between the United States and Mexico. 2 Virgin

America plans to initiate serv ice on December 2, 2011, with five (5) roundtrip flights per week

between San Francisco and Puerto Vallarta, Mexic o, in addition to service it presently operates

between San Francisco and Canc un, San Francisco and San Jose del Cabo and Los Angeles and

Cancun.

In support of this Amendment No. 1, Virgin America states as follows:

1 See Notice in Docket OST-2005-22228 (August 26, 2005).

2 The application was filed in docket on June 29, 2010.1. Virgin America is a Delaware corporat ion in good standing with its principal

place of business at 555 Airport Boulevard, Burlinga me, California. Virgin America is a citizen

of the United States as defined in 49 U.S.C. § 40102(a)(15) and has b een found fit to provide

scheduled interstate air transportation of persons, property and mail. See Orders 2007-5-11 and

2007-8-17; and Letter from Susan L. Kurlan d, DOT Assistant Secretary for Aviation and

International Affairs to Virgin America in Docket OST-2005-23307 (determining that Virgin

America remains a citizen of the United Stat es) (Jan. 8, 2010). Virgin America is also

authorized to provide scheduled foreign air transportation be tween the U.S. and Canada. See

Notice of Action Taken (“NOAT”) in Docket OST-2010-0068 (Apr. 2, 2010).

2. Virgin America is fit, willing and able to provide the air transportation for which

authority is sought. The grant of the authority s ought herein is fully consistent with the public

convenience and necessity, as required under 49 U.S.C. § 41102.

3. Virgin America currently provides daily scheduled interstate air transportation

between: (i) San Francisco and the following cities: Boston, New York (John F. Kennedy),

Washington, D.C. (Dulles), Ft. Lauderdale, Chi cago (O’Hare), Dallas-Fort Worth, Seattle, Los

Angeles, San Diego and Las Vegas; (ii) Los Angeles and the following cities: Boston, New

York (John F. Kennedy), Washington, D.C. (D ulles), Ft. Lauderdale, Orlando, Chicago

(O’Hare), Dallas-Fort Worth and Seattle; and (iii) New York (John F. Kennedy) and Las Vegas.

Virgin America also currently provides scheduled foreign air transportation in the San FranciscoCancun, Los Angeles-Cancun and San Fran cisco-San Jose del Cabo markets.

4. As stated above, Virgin America will pr ovide service on the San Francisco-Puerto

Vallarta route, beginning with five roundtrip flights per week on December 2, 2011. This is

Virgin America’s Winter Schedule and will vary seasonally.5. The traffic rights sought he rein are provided for under the U.S.–Mexico Transport

Agreement. 3

6. Virgin America is seeking, pursuant to a separate petition field concurrent with

this request, an exemption under 49 U.S.C. § 40109 to initiate this servi ces between the United

States and Mexico. Virgin Am erica asks that the Department take official notice of all

information contained in this petition.

7. The addition of Virgin America’s we ll-known and well-received, high quality

operations to and from Mexico will provide mu ch needed competition, market development and

high quality service to the traveling public in the U.S.–Mexico market.

8. Based on the entire record in Dock et OST-2005-23307, the current state of

bilateral relations between the United States a nd Mexico, and the consider able public benefits

derived from additional competition and servi ce in the U.S.–Mexico market, Virgin America

respectfully requests that the De partment grant the authority s ought herein. Moreover, Virgin

America asks that the authority requested herein be integrated with all other authority held by

Virgin America.

3 A IR T RANSPORT S ERVICES A GREEMENT , WITH SCHEDULE , BETWEEN THE U NITED S TATES AND M EXICO (Aug. 15, 1960), as amended and extended.WHEREFORE, for the foregoing reasons, Virgin America Inc. respectfully requests that

the Department grant a certificate of conveni ence and public necessity under 49 U.S.C. § 41102

to Virgin America, authorizing the airline to provide scheduled foreign air transportation of

persons, property and mail between the United Stat es and Mexico in the four markets for which

authority has been requested.

Respectfully submitted,

Barbara Russell Associate General Counsel Virgin America Inc. 555 Airport Blvd., Second Floor Burlingame, CA 94010 (650) 762-7394 (phone) (650) 762-7004 (fax) barbara.russell@virginamerica.com July 14, 2011CERTIFICATE OF SERVICE

I hereby certify that a copy of the foregoing Amendment No. 1 to the Application of Virgin America Inc. for a Certificate of Public Convenience and Necess ity was served this 14 th day of July, 2011, via email transmission or fi rst class mail, postage prepaid, on the following
persons:

Steve Morrissey Managing Director – Regulatory Affairs & Policy United Air Lines, Inc. 1025 Connecticut Avenue, N.W., Suite 1210 Washington, D.C. 20036 steve.morrissey@united.com

David Heffernan Counsel for United Air Lines, Inc. Wilmer Cutler Pickering Hale and Dorr LLP 1875 Pennsylvania Avenue, NW Washington, D.C. 20006 david.heffernan@wilmerhale.com

Marshall S. Sinick Counsel for Alaska Airlines, Inc. Squire, Sanders & Dempsey, LLP 1201 Pennsylvania Avenue, N.W. Suite 500 Washington, D.C. 20004 msinick@ssd.com

Carl B. Nelson, Jr. Associate General Counsel American Airlines, Inc. 1101 Seventeenth Street, N.W. Suite 600 Washington, D.C. 20036 carl.nelson@aa.com

Howard Kass Vice President, Legal US Airways, Inc. 1401 H Street, N.W., Suite 1075 Washington, D.C. 20005 howard.kass@usairways.com Robert E. Cohn Counsel for Frontier Airlines, Inc. Hogan Lovells US LLP Columbia Square 555 Thirteenth Street, NW Washington, D.C. 20004 robert.cohn@hoganlovells.com

Alexander Van der Bellen Sametta C. Barnett Jeff Morgan Delta Air Lines, Inc. 1212 New York Avenue, NW Suite 200 Washington, D.C. 20005 sascha.vanderbellen@delta.com sametta.c.barnett@delta.com jeff.morgan@delta.com

David L. Vaughan Counsel for United Parcel Service of

America, Inc. Kelley Drye Collier Shannon 3050 K Street, N.W. Suite 400 Washington, D.C. 20007 dvaughan@kelleydrye.com

Hershel I. Kamen Vice President – International and Regulatory Affairs Continental Airlines, Inc. Government Affairs—8 th Floor 1600 Smith Street Dept. HQSGV Houston, TX 77002 hkamen@coair.comR. Bruce Keiner, Jr. Counsel for Continental Airlines, Inc. Crowell & Moring LLP 1001 Pennsylvania Ave., NW Washington, D.C. 20004 rbkeiner@crowell.com

John M. Allen Director Flight Standards Service Federal Aviation Administration 800 Independence Avenue, S.W. Room 821 Washington, D.C. 20591 john.allen@faa.gov

Joanne W. Young Counsel for Spirit Airlines, Inc. Kirstein & Young, PLLC 1750 K Street, NW Suite 200 Washington, D.C. 20006 jyoung@yklaw.com

Jonathan B. Hill Counsel for JetBlue Airways Corp. Dow Lohnes PLLC 1200 New Hampshire Ave., N.W., Suite 800 Washington, D.C. 20036 jhill@dowlohnes.com G. Bailey Leopard Legal and Regulatory Affairs Federal Express Corporation 3620 Hacks Cross Road Building B, 3 rd Floor Memphis, TN 38125 gbleopard@fedex.com

John Fredericksen Vice President – General Counsel MN Airlines, LLC d/b/a Sun Country

Airlines 1300 Mendota Heights Road Mendota Heights, MN 55120 john.fredericksen@suncountry.com

Pierre Murphy Counsel for Brendan Airways, LLC d/b/a

USA 3000 Airlines 1200 New Hampshire Ave., N.W. Washington, D.C. 20036 pmurphy@lopmurphy.com

John L. Martin Airport Director San Francisco Intern ational Airport PO Box 8097 San Francisco, CA 94128-8097

Edward P. Faberman Counsel for AirTran Airways, Inc. Wiley Rein, LLP 1776 K Street, N.W. Washington, D.C. 20006 efaberman@wileyrein.com

________________________________ Barbara RussellVERIFICATION

Pursuant to Title 18 United States Code Section 1001, I, Barbara Russell, in my

individual capacity and as the authorized represen tative of the applicant, have not in any manner

knowingly or willfully falsified, co ncealed or covered up any material fact or made any false,

fictitious or fraudulent statement or knowi ngly used any documents which contain such

statements in connection with the preparation, fili ng or prosecution of this certificate application.

I understand that an individual who is found to ha ve violated the provision s of 18 U.S.C. Section

1001 shall be fined not more than $10,000 or impri soned not more than five years, or both.

Name: Barbara Russell Date: July 14, 2011 Title: Associate General Counsel